Off-Plan Drops in Dubai to 59% of Third-Quarter Sales Value

The share of off-plan homes dropped to 59% of Dubai's sales value in the third quarter of 2026, compared to 68% in the same period last year, according to Dubai Land Department data compiled by DXB Interact.

In September, off-plan sales value neared that of resales, reaching AED 15.5 billion ($4.2 billion) compared to AED 13.9 billion for the latter. Dubai recorded around 37,400 real estate sales transactions in the third quarter, a drop of over a third year-on-year, while their value fell by almost half to AED 92.9 billion, including AED 50.6 billion for off-plan, whereas resale value fell by about a third.

Off-plan lost part of its price premium, as the median price for an off-plan apartment dropped about 5% year-on-year to AED 1,703 per square foot in September, while that of a resale apartment rose less than 2% to AED 1,514, narrowing the gap by over a third. Transactions exceeding AED 5 million also dropped to 2,560, while the average value of an off-plan transaction fell by about a fifth to around AED 2 million.

This shift comes following a slowdown in launches after the outbreak of the war in February, as developers launched around 5,300 units in the second quarter compared to over 45,000 in the first, according to Savills. S&P Global expects secondary market transactions to increase as price declines prompt investors to sell, while Harry Martin from Betterhomes predicted a rebalancing between the two markets.

What do these terms mean?

Off-plan: Purchasing a unit from a developer before it is built, with the buyer paying its value in installments during the construction period.

Secondary market: Reselling properties between owners and buyers, instead of buying directly from the developer.

Price premium: The difference between the price of an off-plan unit and a ready unit in the market.

Real estate launches: New projects launched by developers for sale, with their volume measuring the future supply in the market.